Net Worth Calculator

Net Worth = Assets - Liabilities. It's a snapshot of your financial health at a point in time.

Track it regularly: Calculate your net worth monthly or quarterly to see if you're making progress toward your financial goals.

Negative net worth is common: Many people have negative net worth early in their careers due to student loans. Focus on the trend over time.

Include everything: Don't forget retirement accounts, home equity, and even valuable personal property. Be conservative with estimates.

While everyone's financial situation is unique, benchmarks can help you gauge your progress. According to the Federal Reserve's Survey of Consumer Finances, the median net worth for American households varies significantly by age. For those under 35, the median is approximately $39,000; for ages 35-44, around $135,000; for ages 45-54, roughly $247,000; and for ages 55-64, about $364,000. These are medians, meaning half of households have more and half have less.

A common rule of thumb: By age 30, aim to have saved one times your annual salary. By 40, three times. By 50, six times. By 60, eight times. And by retirement at 67, ten times your annual salary. These targets assume you want to maintain your lifestyle in retirement without relying solely on Social Security.

Do not count on home equity alone: While your home is an asset, it is illiquid. You cannot easily spend your home equity without selling the house or taking on debt. Financial planners recommend building net worth in both real estate and liquid investments like retirement accounts and taxable brokerage accounts.

Pay down high-interest debt first: Credit card debt at 20%+ interest erodes your net worth faster than most investments can grow it. Eliminating a $5,000 credit card balance at 22% APR is equivalent to earning a guaranteed 22% return on your money.

Automate savings and investing: Set up automatic transfers to your savings and investment accounts on payday. Treating savings as a non-negotiable expense, rather than saving whatever is left over, is the single most effective wealth-building habit.

Maximize employer retirement matching: If your employer matches 401(k) contributions, contribute at least enough to capture the full match. Not doing so is leaving free money on the table, which directly reduces your net worth growth.

Track net worth quarterly: Reviewing your net worth every three months helps you spot trends, celebrate progress, and catch problems early. The act of tracking itself motivates better financial decisions.